​UK lacks clear plan for future energy capacity - IPPR

"The warning from the Institute of Mechanical Engineers that the UK faces a potential supply gap of 55% is overblown but it is true that there are major challenges ahead for replacing our creaking energy infrastructure.

“The Government needs a clearer plan for incentivising the sort of clean generating capacity that the country needs but also the digital technology that will maximise the efficiency of the system and keep costs low for households and businesses. They should start by reforming the ‘Capacity Market’ to help achieve this."

Contact:

Lester Holloway l.holloway@ippr.org 07585 772 633

Notes to editors:

1) IPPR will be publishing a report shortly which makes recommendations as to how energy policy, and in particular the Capacity Market, should be reformed to replace retiring power stations whilst keeping bills low.

2) IPPR research in 2015 showed how the Capacity Market is being used to subsidise small scale diesel generation with millions of pounds of taxpayer money, instead of delivering new gas plant or incentivising demand response. http://www.ippr.org/files/publications/pdf/mad-maths_Dec2015.pdf?noredirect=1